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Economy vs defence: America’s allies take a ‘dual track’ diplomatic approach as Chinese clout grows

Beijing seen as an economic partner, Washington as a security anchor

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US Secretary of Defence Ash Carter speaks with U.S. service members aboard the USS Theodore Roosevelt aircraft carrier in the South China Sea. Photo: Reuters

As President Xi Jinping  continues on his whirlwind schedule of overseas tours, an increasing number of countries are treading a delicate line in their relationships with China and the United States as competition between the two intensifies.

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As China increases its presence on the world stage – Xi is visiting Turkey and the Philippines this week, Paris and South Africa next month – observers say some of Washington’s traditional allies are adopting the “dual-track” system, already in place in some East Asian countries, in which China is seen as a key economic partner while the US is a security anchor. This is presenting them with a dilemma and forcing Beijing to rethink its approach to diplomacy, they say.

Escalating tensions between the two powers over the South China Sea have polarised the region, with countries – claimants or not – either challenging China’s behaviour or seeking to avoid upsetting Beijing.

The issue has already stirred discussions within the South Korean government on how to respond in order not to offend either power, a source said. This year, the US’ assistant secretary of state for East Asian and Pacific affairs, Daniel Russel, said Seoul should “speak up” over the South China Sea, presenting a dilemma for Seoul, which increasingly relies on China for its economic growth while the US remains a vital security ally.

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Countries outside Asia could find themselves in similar tight spots as China’s economic clout expanded, said Yan Xuetong, an international relations expert with Tsinghua University in Beijing. Yan said European countries were increasingly siding with Beijing for economic opportunities while maintaining security ties with Washington.

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